Project xCloud Competitor Google Stadia Closes Its Internal Studios

We've got some very interesting news coming out of the Google camp today, as it's been revealed that the cloud-based Google Stadia service has closed its internal studios and has no plans to make in-house games moving forward.

The news broke in a report by Kotaku earlier this afternoon, and was verified by an official PR statement from Google, explaining that the company had come to the decision due to the costs involved and the brand's current focus:

"Creating best-in-class games from the ground up takes many years and significant investment, and the cost is going up exponentially. Given our focus on building on the proven technology of Stadia as well as deepening our business partnerships, we’ve decided that we will not be investing further in bringing exclusive content from our internal development team SG&E, beyond any near-term planned games."

As a result, veteran producer Jade Raymond has decided to leave the company, and Google says it will use 2021 to "expand our efforts to help game developers and publishers take advantage of our platform technology and deliver games directly to their players":

"We see an important opportunity to work with partners seeking a gaming solution all built on Stadia’s advanced technical infrastructure and platform tools. We believe this is the best path to building Stadia into a long-term, sustainable business that helps grow the industry."

Google Stadia seemingly has no plans to shut down for good, then, but from an Xbox perspective, today's news certainly makes Xbox's Project xCloud service look a more enticing prospect for fans of cloud-based gaming moving forward. And for the developers who are now unfortunately out of a job, it'll be interesting to see if any of them make their way to one of the many Xbox Game Studios teams in the near future.

What are your thoughts on this? Let us know down in the comments below.

[source, via]